PRICE MINUS THE BALANCE, PLUS THE FEES: THE ASSUMPTION GAP IS ARITHMETIC, AND OFTEN LARGE.

The CFPB frames the assumption gap plainly: the difference between the home's sale price and the balance on the assumed loan equals the amount the buyer needs to pay, out of pocket or with a second loan (VERIFIED). On an FHA assumption, the lender may charge a processing fee that is reasonable and customary and not more than $900, plus nonrefundable third party costs for credit reports and employment verification, plus up to $45 for preparing the release of liability forms (VERIFIED, FHA Mortgagee Letter 2016-24; the servicer quotes the current cap). On a VA assumption, a funding fee of 0.5 percent of the loan balance is collected at closing and may not be financed into the loan (VERIFIED, VA Circular 26-23-10).

If the gap is larger than the cash available, buyers commonly add a second loan, such as a HELOC or a second mortgage, to close it; the CFPB describes such a loan as a second mortgage paid in addition to the first (VERIFIED), but no primary source read here sets a rule or a ratio for using one on an assumption, so it is a common workaround and not a published requirement (PROBABLE). Whether a particular servicer permits a second lien behind the assumed loan, and whether the buyer qualifies for both payments, is the lender's decision.

HUD requires the FHA creditworthiness review to be completed within 45 days from the date the lender receives all necessary documents (VERIFIED, HUD 4155.1 Chapter 7), and VA requires a holder with automatic authority to complete processing within 45 calendar days of a complete application (VERIFIED, VA Circular 26-23-10). What stalls assumptions in practice is the servicer's own capacity, which is why VA issued a circular reminding holders of their compliance duties (PROBABLE). No primary source states an average real world time, so this page does not.